By George Anderson
Forget about “champagne wishes and caviar dreams.” You no longer have to be among the rich and famous to enjoy luxury items.
In fact, according to a Find/SVP report on the Forbes Web site, consumers from all different economic/social strata are finding ways to enjoy luxury products, whether it be a freshly-ground coffee beverage from a Starbucks inside a Target to the decidedly more extravagant pleasures enjoyed by super-rich.
This “New Luxury” movement as described in the Forbes piece has come about because of “a decline in household size (and thus an increase in family income), a smarter populace, the growing influence of lifestyle magazines, and increased stress at work and at home.”
Moderator’s Comment: What factors do you believe are chiefly responsible for driving the “new luxury” movement? How
do retailers, catering to those with more modest means, leverage the consumer desire for self-reward to drive profits?
The Forbes piece included a reference to a 2002 study by Boston Consulting which showed consumers were willing to pay up to 10-times more for new
luxury items. –
George Anderson – Moderator